iPhone 5 release means iPod Touch to only get additional color in 2011

There have been some rumors recently suggesting that Apple may be winding down development and production of the iPod. But it does look like the iPhone 5 release means the iPod Touch is to only get an additional color in 2011, with a white model offered.

According to sources who have told AppleInsider, that unlike previous years the company will only give the device a modest refresh for this year. The iPod was instrumental in getting the company back to the good times back in 2001. But now the device is beginning to fall behind the company’s more lucrative and influential devices like the iPad and the iPhone.

The company is thought to be unveiling its holiday lineup of iOS devices between mid-August and mid-September, where it is thought by many the iPhone 5 and maybe even another handset will make their debut.

For a long time the iPod was Apple’s main product and money earner, but now the device only accounts for five percent of the company’s total revenue according to the company’s earnings that were posted earlier this week. Most of the earnings come from the iPod Touch which achieved over half of the 7.54 million iPods which shipped during that quarter.

Kuo said that looking into the current third quarter checks have indicated that Apple have placed some orders for white iPod Touch models. These are expected to enter mass production towards the end of August. He then added that the build plans for the device hint at few if any changes from the last model released late last year.

It was the same analyst that predicted that Apple would wind down production of the white MacBook, which is now only available to educational institutions. As more people start buying smartphones it does away with the need of having two devices. While a market may still exist for the iPod Touch it remains to see how much longer the other models remain in production.

The smaller and cheaper iPods like the Nano and Shuffle may still have some life left in them as they are cheaper alternatives. But you would have thought the iPod Classic may be discontinued soon as it is priced at a similar level to the entry model iPod Touch.